Deficit (redirected from Government deficit)

Deficit

An excess of liabilities over assets, of losses over profits, or of expenditure over income.

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deficit

1. A negative retained earnings balance. A deficit results when the accumulated losses and dividend payments of a business exceed its earnings.

2. See operating loss.

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Deficit

A situation in which outflow of money exceeds inflow. That is, a deficit occurs when a government, company, or individual spends more than he/she/it receives in a given period of time, usually a year. One's deficit adds to one's debt, and, therefore, many analysts believe that deficits are unsustainable over the long-term. See also: Surplus.